Question: Use the following equations to find: 1) Equilibrium price before tax 2) Equilibrium quantities (both supply and demand) before tax 3) Equilibrium price and quantities (Qs and Qd) after Rs.6 per unit tax on producer The equations are: P = 7.2 P =-+ Q 6
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- GIVEN THE FOLLOWING QD=240-5P QS=P WHERE QD IS THE QUANTITY DEMANDED, QS IS THE QUANTITY SUPPLIED AND P IS THE PRICE. SUPPOSE THAT THE GOVERNMENT DECIDES TO IMPOSE A TAX OF $12 PER UNIT ON SELLERS IN THIS MARKET DETERMINE: SELLER’S RESERVATION PRICE BUYER’S RESERVATION PRICE EQUILIBRIUM QUANTITY BEFORE THE TAX EQUILIBRIUM PRICE BEFORE THE TAX DEMAND AND SUPPLY EQUATION AFTER THE TAX PLEASE ANSWER ALL QUESTIONS!When the price is 10 TL for each pack of cookies, the supply is 250 thousand and the demand is 120 thousand boxes. When the price is 9,5 TL for each pack of cookies, the supply is 200 thousand and the demand is 240 thousand boxes. Since the price-demand and supply-demand equations are linear; If a tax is applied at the rate of T=1.25 TL per product sold to the manufacturer, find and interpret the market balance point after tax.Question 1 Qd = 240 - 5P Qs = P (a) Where Qd is the quantity demanded, Qs is the quantity supplied and P is the Price. Find: (1) the Equilibrium Price before the tax (2) the Equilibrium quantity before the tax (3) buyers reservation price (4) sellers reservation price (5) consumer's surplus before tax (6) producer's surplus before tax (b) Suppose that the government decides to impose a tax of $12 per unit on seller's in the market. Determine: (1) Demand & Supply equation after tax (2) buyer's price after tax (3) seller's price after tax (4) quantity after tax (5) consumer surplus after tax (6) producer surplus after tax (7) tax revenue (8) deadweight loss of the tax (9) total surplus after tax Question 2 Carefully explain what is happening in the following markets. Indicate the impact if any on demand, supply, price and quantity. (a) In academic year 2020/2021 a university mandates that all students must take Financial Accounting as a core requirement for their major.…
- Given the following information: QD= 240-5P QS= P Where QD is the quantity demand, QS is the quantity supplied and P is the price. Suppose the government decides to impose tax of $12 per unit on sellers in the market. Determine: Tax revenue _____________.Read the following and answer question?‘Exit tax’ to hit South Africans looking to emigrate from 2022When ceasing their South African tax residency, taxpayers are subject to an ‘exit tax’ which forms part of the emigration process. However, the National Treasury has proposed a further tax on those who intend to permanently leave South African shores, say tax experts at specialist advisory firm Tax Consulting SA. “In the National Treasury’s latest published Draft Tax Bills, which incorporates the tax proposals made in the 2021 budget, the amendment proposes to tax retirement fund interests of individuals when they cease South African tax residency,” the firm said. Suppose that currently, the South African economy is in an expansionary phase. The proposed “Exit tax” by the National Treasury would resemble which of the following macroeconomic schools of thought?a) Keynesian theoryb) Classical theoristsc) Marxist economicsd) Monetarist economicsgiven the following information Qd=240 -5p and Qs= P Where Qd is the quantity demanded and Qs is the quantity supplied and P is the price. suppose the government decided to impose a tax of $12 per unit on the sellers in the market. Determine Demand and supply equation. Recheck consumer surplus calculation. Calculate Tax revenue, deadweight loss and total surplus after tax
- Critically evaluate the impending rise of sales tax planned by the Japanese government and its effect on the demand and eventually public spendingGiven the following information QD = 240-5p QS = P Where QD is the quantity demanded, Qs is the quantity supplied and P is the price. What is the Equilibrium quantity before taxPlease only answer question 3 The statutory marginal tax rate for income levels between $0 and $100,000 is 25%. The statutory marginal tax rate for income levels above $100,000 is 50%. A family with a child purchases 800 hours of childcare per year. The hourly rate for childcare was $10 in 2020. Families can deduct childcare expenditures up to $8,000. One spouse worked during the year while the other spouse did not earn income. The spouse that worked can claim a tax credit of $6,000. 1. What is the after-tax income available to the family when the spouse that worked earned $100,000 in 2020? What is the effective tax rate (taxes paid over total pre-tax income). 2. What is the after-tax income available to the family when the spouse that worked earned $200,000 in 2020? What is the effective tax rate (taxes paid over total pre-tax income). How does the after-tax price of childcare differ compared to the family with income = $100,000. 3. There is an inflation rate of 100%…
- Given: Qd = 240 - 5P Qs = P Where Qd is the quantity demanded, Qs is the quantity supplied and P is the price. Suppose the government decides to impose a tax of $12 per unit on sellers in this market. Determine: A) The buyer's price after tax B) The seller's price after tax C) The quantity after taxWhen the price is 10 TL for each pack of cookies, the supply is 250 thousand and the demand is 120 thousand boxes.When the price is 9,5 TL for each pack of cookies, the supply is 200 thousand and the demand is 240 thousand boxes. Since the price-demand and supply-demand equations are linear; If a tax is applied to the consumer at the rate of T=0.75 TL per product, find and interpret the market balance point after tax.Given: Qd = 240 - 5P Qs = P Where Qd is the quantity demanded, Qs is the quantity supplied and P is the price. Suppose the government decides to impose a tax of $12 per unit on sellers in this market. Determine: A) The consumer surplus after tax B) The producer surplus after tax C) The tax revenue